Bowen Coking Coal Ltd. sold a 10% interest in the Broadmeadow East mine to MPC Lenton Pty. Ltd., a subsidiary of the Formosa Plastics Group, for A$13 million ($8.7 million) in cash and a royalty of A$2.10 ($1.41) per metric ton (raw) of MPC’s share of production from the Broadmeadow East mine on a quarterly basis from May 1, 2023 to December 31, 2026. The sale was approved and met conditions precedent, including approval from Australia’s Foreign Investment Review Board (FIRB) and the Queensland Minister for Resources.
“The unification of ownership and operating structures for the Broadmeadow East mine, the Burton mine and the planned Lenton coal project provides Bowen and MPC with significant operational flexibilities and efficiencies,” Bowen CEO Daryl Edwards said.
Bowen intends to use $7 million of the sale proceeds to repay a portion of the Taurus facility, reducing the balance to $44 million.
